CONGRATS TO EDDIE TUVIN!

Last Friday we ran a picture of Maryland SBA banker Eddie Tuvin meeting President Obama at one of Tuvin's SBA ARC loan clients' business. This mundane meeting has suddenly exploded on the national scene when Jay Leno used the encounter as a joke during last night's monologue.

Check it out. It's at 3:05 on the video
http://www.hulu.com/watch/127118/the-jay-leno-show-tue-feb-9-2010

Hilarious!

Huntington Bank to Hire 150 Small Business Bankers Ohio-based Huntington Bancshares Inc. will double its annual small-business lending over the next three years, in part by hiring 150 bankers who will look for small businesses that previously might not have qualified for credit. "We are going to loosen our underwriting standards," Stephen Steinour, president and chief executive of the Columbus regional bank, told Dow Jones Newswires. "We're all in on this," he said. "We're not dabbling." . . . keep reading Best Practices: Pre-Filing Financing Statements Lenders often face the challenge of keeping closing down, while still ensuring that it is conducting its due diligence prudently. For lenders that participate in the U.S. Small Business ("SBA") loan program, there is an added regulatory requirement under the SOP 50 10(5)(B) for lenders to confirm their correct lien position on small business borrower's assets as contemplated in the SBA Authorization. . . . keep reading Whitlock Group, LLC Announces Creation of a Strategic Alliance with Deborah Crain, Attorney at Law. Ms. Crain holds her law licenses in Texas and Louisiana. Her practice focuses on business, property tax and litigation. It is her mission to ensure that individuals and businesses are taxed fairly, in accordance with the Texas Constitution's mandate for fair market value. She assists her business clients with a wide array of matters, from incorporating their business to protecting those businesses when faced with litigation. Ms. Crain's background in business compliments her litigation background, and she feels it is imperative that legal goals merge with business goals. . . . keep reading Quadrant Financial, Inc. Announces Expansion of Operations, Hiring of Doug LeBlanc and Lee Levinson Quadrant Financial, Inc. (QF) announced today that it has hired Doug LeBlanc as Vice President/Business Development Officer (Austin, TX) and Lee Levinson as Vice President/Business Development Officer (St. Louis, MO). "We are thrilled to have hired two outstanding business development professionals," said George Vredeveld Jr., President of QF. Vredeveld went on to state that "both Dough and Lee are valuable additions to our growing and experienced team." . . . keep reading C5 People Solutions, Paul VanZant & Dustin Baker Launch New Firm Headquartered in Dallas, C5 People Solutions enjoys core competency and a broad contact base in banking, SBA lending, commercial finance, and real estate, and has also served clients coast to coast in other industries. The company applies its proprietary C5 methodology to assist growth-minded organizations and individuals longing for a greater sense of fulfillment. . . . keep reading SBA-504 Volume Up In California The number of SBA-504 loans approved by all certified development companies in California in January increased 11.8% compared to December '09, according to CDC Small Business Finance, the largest CDC in the nation. Total loan units approved by all CDCs jumped from 93 in December to 104 in January. Total 504 debenture volume increased from $73.7 million to $80.7 million, December to January. Bank first trust deed volume climbed from $102.5 million to $115.6 million, respectively, a 12% jump. . . . keep reading FDIC Representative, Denver Mayor Hickenlooper, and Global Construction Leader to Speak at Exclusive Commercial Construction Lending Seminar March 3 and 4. Denver Mayor John Hickenlooper, the Federal Department of Insurance and Credit (FDIC), and Global Construction Leader Tishman Construction Corporation to Speak at Exclusive Commercial Construction Lending Seminar March 3 and 4. For cutting edge information and education on the ever-changing Commercial Construction industry, networking opportunities, and to hear several of the most prominent business speakers in the country, the annual Strategies For Success In Construction Lending (SSCL) Commercial Seminar is the place to be. Held at The Ritz-Carlton, Denver in downtown, this streamlined one-day plus conference will host industry executives from across the nation to discuss core issues facing the commercial construction lending industry. . . . keep reading SBA Inspector General Audit Recommends Cancellation of 3 SBA 7(a) Guaranties CONDITION: Lenders approved 3 loans which were not eligible for SBA guaranties. One lender cancelled a portion of an SBA guaranteed loan approved prior to the Recovery Act and, without SBA approval, reissued it as a Recovery Act loan with a higher SBA guaranty. This practice was specifically prohibited by SBA Policy Notice 5000-1103 . A second loan was ineligible for an SBA guaranty because (1) it resulted in the borrower's maximum outstanding loan balance exceeding the SBA limit,l and (2) the interest rate on the loan was in excess of that allowed by SBA. Finally, a third loan was not eligible for an SBA guaranty because the lender did not comply with SBA's change of ownership requirements. Specifically, the lender did not (1) perform a business valuation, (2) conduct a site visit of the assets being purchased, or (3) verify the seller's financial information. See Appendix I for deficiencies associated with each of the loans. . . . keep reading Marty Teckler Joins Bingham McCutchen Martin Teckler is experienced in general corporate law, real estate, administrative law, securities and venture capital. He also has experience in the programs of the Small Business Administration and other federal agencies which provide capital to small businesses, such as the U.S. Department of Agriculture, OPIC and the Export-Import Bank, as well as areas of government contracting and the provision of set-asides to small and minority-owned businesses. His principal areas of practice include representation of venture capital funds which are structured as Small Business Investment Companies (SBICs) and representation of specialty lenders that make financial assistance available to small and mid-sized businesses. . . . keep reading Asia Times: The Unequal Credit Crunch Thus "crowding out" of small business, the economists' main worry about large government budget deficits, is most certainly happening. Government is spending more money than it takes in, so small businesses can't get finance and instead go bust. If that creates jobs, I'm a Dutchman. The most fruitful source of new employment is small new businesses that are in fields not yet tapped by the big behemoths. By suppressing small businesses while preserving large businesses, the Barack Obama administration is suppressing the creativity of the US economy, which is the only thing that economically justifies US living standards being higher than China's. . . . keep reading Billions in Funds Strive to Keep Small Businesses Steady in Rough Economy Shorette, co-owner of Dirigo Slipform, said the company did well in 2008, but he knew 2009 would be difficult financially. The prospects of being able to get a $1.7 million loan from a local bank last year, given the state of the economy, were not that promising, he said. "If it wasn't for the SBA loan, we wouldn't have been able to buy the organization," Shorette said. *** Jonas Contakos said that he and his wife bought the business last year with an SBA loan of $1,025,000, which is more than the amount listed for their business at Recovery.gov. The loan also funded the purchase of a new X-ray machine and some renovations to the building. Nine people work at the animal hospital, he said, including one person whose position was created since they acquired it. The new hire runs the kennel side of the business and oversees the building renovations. "None of this would have been possible without the SBA loan," Contakos said. . . . keep reading President Obama Meets Capital Bank's Eddie Tuvin to Promote SBA Lending (Feb. 5) President Obama met with long time SBA lending professional Eddie Tuvin of Capital Bank. In the national address from the offices of one of Eddie's borrowers in Lanham, MD, the President commended Eddie and Capital Bank for its support of small business lending initiatives in the US. Eddie is Vice President of Small Business Lending for Capital Bank, the Acting Executive Director of The Main Street Initiative, and Vice President of the Maryland Commercial Lenders Association. Eddie received the 2009 ARC Lender of the Year Award from the US Small Business Administration Washington DC District. . . . keep reading Miami Herald: Stop the Stalling, Help Small Businesses President Obama's belated effort to boost government help for small businesses puts the focus of the economic recovery program where it should have been from the start -- on Main Street. The economy is unlikely to regain momentum until small businesses restart their engines. They're the principal drivers of the economy, responsible for creating nearly two out of every three new jobs over the last 15 years. In Florida, nine of every 10 businesses fall into this category. . . . keep reading SBA loan expansion 'can only be helpful' to small businesses Ira Lutsky, president of New Jersey's largest 504 lender, the New Jersey Business Finance Corp., in Fort Lee, said he is very much in favor of Obama's refinancing proposal. "There is a lot of commercial real estate coming up for refinancing, and with the banks being more cautious, this will be very helpful," he said. He would like to see borrowers who have equity in their property be allowed to use 504 to both refinance and obtain working capital, and not just use it to refinance debt. . . . keep reading Obama Proposes Expanding SBA Loan Limits President Barack Obama has called for expanding the size of loans made through the Small Business Administration's SBA Express program from $350,000 to $1 million. Obama also proposed on Friday to expand the Certified Development Company/504 program to provide more refinancing of existing commercial real estate mortgages. In his weekly address on Saturday, Obama urged Congress to move forward with these and other recent proposals to aid small businesses. . . . keep reading Obama Seeks More Ammo for SBA - Portfolio.com "Right now, even companies with great credit histories are facing challenges refinancing at what are historically low rates," Obama said. "Property values have fallen, and lending has dropped. As a result, many businesses that would otherwise survive this downturn are at a risk of defaulting, which in turn will lead to even lower property values and less lending, not to mention lost jobs." . . . keep reading Commercial Real Estate Will Rise - Jerry Chautin 90% SBA-504 loans are available for small-business owners who would rather own than lease an office building, warehouse, restaurant or other kind of commercial facility. Borrowers are required to occupy more than half of the building and create or retain jobs as part of the transaction. Prior to the credit crunch, banks that made these loans had the option of selling them to investors in the secondary market. But the secondary market is frozen and the U.S. Small Business Administration is trying to reinvigorate it. . . . keep reading Velasquez off the Reservation--Blasts Obama's SBA Proposal "With loan defaults on the rise, we should not base our strategy on increasing the size of the least stable SBA lending program," Velazquez said. "SBA Express has acted as nothing more than a giveaway to Big Banks and expanding it will neither further economic recovery, nor create new jobs." As an alternative, Velazquez called for other steps to improve the flow of capital to small businesses. She observed that, in both October and last February, the House of Representatives approved legislation that would enable the SBA to fill in the gap when small business credit markets do not function correctly. Enacting that proposal and extending elements of the Recovery Act that were signed into law last February would make credit more available and affordable for aspiring entrepreneurs and existing businesses. . . . keep reading Winick: "We remain cautiously optimistic and await Congressional action" for the $30B Small Business Fund Increasing small business lending by 10% based on a 2008-2009 baseline should be a drop-kick for banks that embrace the SBA lending programs. So, in effect, it is capital that pays a 1% dividend. In addition, the Administration cannot make SBA lending any more attractive than it is today without creating a perverse incentive to make bad loans. Arguably, we are already at that point since a bank can make a 7(a) loan with a 90% guarantee and sell its guaranteed portion at a premium as high at 110%. . . . keep reading Best Practices: Stock Purchase When the stock of the entity is being acquired by another entity or individual(s), both the entity being acquired and the individual(s)/entity acquiring the stock must be co-borrowers on the loan. The SOP 50-10 5 (B) requires the note to be executed on "a joint and several basis by both the individual(s) who acquires the stock and the corporate entity being acquired." . . . keep reading Senate Small Business Letter to Secretary Geithner Under Scrutiny from Small Business Community In speaking with an SBA Department manager yesterday, I learned that his bank's cost of funds was approximately Prime - 2.00%, which I believe is indicative of similar institutions. Since that puts their "spread" at 4.75%, the bank is able to generate profits and is actively lending to small businesses. The government has not learned from its experience with TARP monies and large banks, wherein the banks took the funds, but re-paid them as quickly as possible...not only because they were unable to generate profits on those funds, but also to avoid the compensation restrictions that were included in the program. . . . keep reading Stimulus-Enhanced SBA Loans More Available and More Affordable Unity Bank's Senior Vice President/Commercial Lending Officer, Michael Downes, said, "By eliminating the borrower guaranty fees and increasing the lender guaranteed repayment, the SBA has definitely made small business loans more attractive to both lenders and borrowers. Unity Bank was built on the SBA loan market, so we possess a great deal of history, knowledge, expertise and experience in helping our small business customers secure the funding they need to start and build their businesses. As a community bank that prides itself on building and nurturing personal relationships in the local towns we serve, we're very pleased to be able to offer our business customers enhanced SBA loans at current lower interest rates." . . . keep reading SBA-Backed Loans Are Bright Spot in Gloomy Climate - WSJ Having already tried multiple programs to tackle this problem, the U.S. government continues to propose solutions, such as the recently announced $30 billion allocation of relief funds for community banks. Thus far, most of the initiatives haven't made a substantial impact, primarily because they fail to entice lenders to participate or they target too few business owners. But loans backed by the Small Business Administration may be emerging as a bright spot in the otherwise bleak lending climate. . . . keep reading Obama Takes a Tough Question on S.B.A. Lending - NY Times One nice thing about our president is that he has the intellectual self-confidence to take questions from anyone who cares to ask, regardless of whether the interlocutor agrees with him. And so it happened that once more, an entrepreneur had the opportunity to pose to President Obama a question that Agenda readers have raised more than once. . . . keep reading NPR Interview - Coleman Praises $30 Billion Small Business Fund BOB COLEMAN: $30 billion with a "b" is certainly a positive development for the entrepreneur on Main Street. That entrepreneur needs the local community bank to meet payroll, to fund their working capital to pay their vendors. . . . keep reading More

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